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What helps households with children in leaving poverty?: Evidence from Spain in contrast with other EU Counries

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Listed:
  • Olga Canto
  • Coral del Rio
  • Carlos Gradin

Abstract

Recent results on poverty in Europe show that households with children have a higher incidence of poverty than households without children. This incidence is not only higher but increasing. The literature on poverty has noted that the events that are most effective in pushing households out of deprivation should largely determine the design of poverty-alleviating social policy. Using longitudinal data for Spain for the 80’s and 90’s we account for the importance of relevant demographic and labour market events in helping households with and without children in leaving a poverty situation decomposing the relevance of each event in that generated by labour market policies and fertility or marriage institutions and welfare state policies implications. Similarly to results for other countries, the events that most help Spanish households in leaving poverty are related to the labour status and changes in employment of household members more than to demographic events. However, we should note that the transitions out of poverty of households with children are most strongly linked to the economic cycle in the economy mainly through labour market events while non-labour income changes appear as more important in determining a potential transition out of poverty of households without children, implying that their transitions are more linked to the social protection system.
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Suggested Citation

  • Olga Canto & Coral del Rio & Carlos Gradin, "undated". "What helps households with children in leaving poverty?: Evidence from Spain in contrast with other EU Counries," Studies on the Spanish Economy 137, FEDEA.
  • Handle: RePEc:fda:fdaeee:137
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    References listed on IDEAS

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    1. Luttmer,Erzo F.P., 2001. "Measuring poverty dynamics and inequality in transition economies - disentangling real events from noisy data," Policy Research Working Paper Series 2549, The World Bank.
    2. Ravallion, Martin, 1996. "Issues in Measuring and Modelling Poverty," Economic Journal, Royal Economic Society, vol. 106(438), pages 1328-1343, September.
    3. Stevens, Ann Huff, 1994. "The Dynamics of Poverty Spells: Updating Bane and Ellwood," American Economic Review, American Economic Association, vol. 84(2), pages 34-37, May.
    4. Mary Jo Bane & David T. Ellwood, 1986. "Slipping into and out of Poverty: The Dynamics of Spells," Journal of Human Resources, University of Wisconsin Press, vol. 21(1), pages 1-23.
    5. Duncan, Greg J & Gustafsson, Bjorn & Hauser, Richard & Schmauss, Gunther & Messinger, Hans & Muffels, Ruud & Nolan, Brian, 1993. "Poverty Dynamics in Eight Countries," Journal of Population Economics, Springer;European Society for Population Economics, vol. 6(3), pages 215-234.
    6. Micklewright, John & Stewart, Kitty, 1999. "Is the Well-Being of Children Converging in the European Union?," Economic Journal, Royal Economic Society, vol. 109(459), pages 692-714, November.
    7. Jenkins, Stephen P. & Schluter, Christian, 2001. "Why are child poverty rates higher in Britain than in Germany? a longitudinal perspective -working paper-," ISER Working Paper Series 2001-16, Institute for Social and Economic Research.
    8. Immervoll, Herwig & Sutherland, Holly & de Vos, Klaas, 2000. "Child poverty and child benefits in the European Union," EUROMOD Working Papers EM1/00, EUROMOD at the Institute for Social and Economic Research.
    9. Pedro Mira & Namkee Ahn, 2001. "Job bust, baby bust?: Evidence from Spain," Journal of Population Economics, Springer;European Society for Population Economics, vol. 14(3), pages 505-521.
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    More about this item

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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